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Food Delivery Surges in Asia Pacific, Accounting for Nearly a Quarter of Foodservice Market

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The food delivery sector in Asia Pacific has reached a significant new milestone, with delivery now comprising 23% of the region’s foodservice market—more than doubling its share since 2019, according to the latest research by Euromonitor International as reported by Retail Asia. This dramatic rise underscores how convenience and digital transformation are rapidly reshaping how people across the region, including in Thailand, purchase and enjoy food.

For Thai readers, the rapid expansion of food delivery is impossible to miss. Just a few years ago, a visit to a bustling local food market or a sit-down meal at a street-side restaurant was the norm. Today, it is common to see motorcycle riders from Grab, Foodpanda, or Robinhood zipping through Bangkok traffic or delivering upcountry, a trend that accelerated during the COVID-19 pandemic and shows no sign of slowing down. This change matters both as a reflection of shifting consumer habits and because it impacts the livelihood of restaurant owners, riders, and the broader foodservice economy in Thailand.

Based on Euromonitor data, the Asia Pacific region now holds a commanding 40% share of global foodservice sales, which reached US$1.3 trillion this year, up 6% from 2023 and surpassing pre-pandemic levels (Retail Asia). Delivery orders, in particular, have powered much of this rebound. Regionally, delivery jumped from just 10% of the market in 2019 to 23% in 2024. Globally, delivery has also leapt, composing 21% of the global market in 2024, compared to only 9% in 2019.

Despite persistent inflation and economic uncertainty across Asia, including Thailand, the foodservice industry is proving remarkably resilient. Global foodservice sales grew by 5.5% in 2024, reaching US$3.2 trillion overall. In Asia Pacific, growth continues at a projected 6% compound annual growth rate (CAGR) through 2029, indicating that the appetite for convenient meal solutions is here to stay.

As a senior Euromonitor consultant explains, “Inflation and economic uncertainty remain major concerns for consumers. Despite global transactions recovering to pre-pandemic levels, indicating strong demand in the industry, consumers are still cutting back on spending and opting for more affordable options.” This reality is evident in Thailand, where budget consciousness often drives ordering decisions, and popular apps heavily promote discount codes, free delivery, and loyalty programs to keep customers coming back.

The report projects that by 2029, delivery will rise to 26% of the region’s foodservice market, while traditional eat-in dining is likely to remain steady around 64%. Notably, the arrival of so many choices at the touch of a button—the “super app” experience offered by Grab, LINE MAN Wongnai, and others—has helped entrench delivery as an everyday option for busy urbanites, students, and families.

Much of the delivery growth is fueled by aggressive promotions from third-party apps and platforms. These companies compete fiercely, offering attractive loyalty rewards and waiving service fees, particularly during festivals, long weekends, or periods of high demand. Meanwhile, limited-service restaurants—such as burger and chicken chains or noodle houses—are seeing gains by providing smaller, more affordable menu options in line with the economic pinch many Thai and regional consumers feel.

For food business owners, this digital shift offers both opportunity and challenge. They must adapt to an increasingly online-first customer base, rethink their menus and pricing, invest in digital tools, and maintain strong operational partnerships with delivery platforms. As Franco of Euromonitor advises, “To retain customers, restaurant operators must strategise to offer value beyond price, focusing on enhancing experiences, embracing digitalisation, and building brand loyalty.”

Thailand’s own market mirrors these trends. Restaurant entrepreneurs from Chiang Mai to Hat Yai have learned to optimize their pricing and menus for “cloud kitchens” and delivery-only outlets. Thai consumers, long known for their adventurous eating habits, are embracing the convenience of quick home delivery—and the chance to sample regional specialties without leaving home.

A prominent example of this adaptation is seen in the rapid growth of chain coffee and tea outlets, which have become affordable luxuries for many urban Thais. Across Asia Pacific, specialist coffee and tea shops saw 13% growth in 2024, reaching US$39 billion, with countries such as Singapore leading via expanded menus and new outlets (Retail Asia). Thailand is part of this trend, with both international and local beverage chains expanding in shopping centers, office towers, and transit hubs, as well as integrating seamlessly with third-party delivery applications.

This transformation carries important cultural context for Thai society. On one hand, the emergence of food delivery protects access to diverse, affordable meals during times when dine-in options are limited—such as during the pandemic or flooding. On the other, critics voice concern that a strong delivery culture may diminish social dining traditions, and push small family-run eateries into precarious reliance on costly delivery app commissions.

Historically, Thai eating culture revolves around shared meals, street-side dining, and vibrant night markets, with meals seen as an opportunity to connect with family and friends. The question now is whether technology-driven convenience will erode these customs, or simply give rise to new forms of socializing and “virtual” food sharing. Already, the rise of food bloggers, delivery “unboxing” videos, and online group ordering shows how digital platforms are transforming—not erasing—Thailand’s food culture.

Looking ahead, industry observers expect food delivery services to become even more efficient and innovative. Delivery robots, drone drop-offs, and AI-powered menu recommendations are in development across the Asia Pacific region, building on the rapid digitalization seen in cities like Bangkok. However, resilience will remain essential. The sector must respond to continuing inflation, tackle environmental concerns related to packaging waste, and ensure fair conditions for riders and kitchen workers. New government regulations on gig economy work and sustainable packaging may soon reshape the industry as well.

For Thai readers—whether food lovers, restaurateurs, or delivery riders—it’s clear that innovation and adaptation are key. To benefit from the delivery boom, consumers should take advantage of app-based discounts and loyalty programs, but also support local eateries directly when possible. Restaurant operators and food business owners, meanwhile, can thrive by leveraging technology, partnering with multiple delivery platforms, and keeping menus fresh and affordable. Education and skill-building around digital marketing, business analytics, and sustainability will be critical in the coming years.

Above all, as the Asia Pacific region solidifies its position as the world’s food delivery leader, Thailand stands poised to continue its own culinary renaissance—bridging tradition and modernity in kitchens, apps, and meal tables across the country.

Sources: Retail Asia

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Medical Disclaimer: This article is for informational purposes only and should not be considered medical advice. Always consult with qualified healthcare professionals before making decisions about your health.